BNP PAM rolls out Sophis' Value at structured investment unit

BNP PAM Structured Investment will use VALUE for pricing, position keeping and risk management of instruments across a range of product lines. It will also use the solution to compute its own net asset value calculations, manage cash (subscription/redemptions and fees), compile reporting sheets and for pre and post-trade compliance checking. Following a thorough evaluation process, BNP PAM was convinced by VALUE's connectivity to external partners and the high degree of customisation that enables VALUE to price, analyse and process complex structured products effectively.

"In order to be able to standardise our operations across product lines, we required a system that had cross-product portfolio and risk management capabilities, as well as offering standard and flexible interfaces with the various custodians and back office/administration service providers. VALUE was the only solution that addressed both our sophisticated needs, in terms of structured product management, and our full STP strategy. We see Sophis as a long-term partner who will be able to support our growth, both technically and functionally," commented Alexandre Karras, Global Head of IT at BNP Paribas Asset Management.

The solution will be used in BNP PAM's Paris office where its structured investment activities are located. BNP PAM will be using VALUE to manage both closed funds, such as index funds and structured funds, as well as open funds, such as floor funds and protected funds. Adapted from RISQUE, Sophis' market leading sell-side solution, VALUE combines sell-side functionality (e.g. complex pricing models) with buy-side ergonomics and ease of implementation to support increasingly complex buy-side trading activities. VALUE's comprehensive application programme interfaces (APIs) allow it to be easily integrated into existing IT environments and interface with other systems. The solution's toolkit enables extensive customisation by extending the core functionalities of the VALUE solution, e.g. pricing models, scenarios, instruments and graphical user interfaces (GUIs), to support the most complex structured products.

"We are very pleased to welcome BNP Paribas Asset Management Structured Investment to our growing client base of buy-side institutions. The buy-side's use of increasingly complex trading strategies is resulting in more sophisticated IT requirements. Investment managers require solutions that can not only handle classic and alternative strategies, but can also provide connectivity to all external partners (e.g. prime brokers, data providers, administrators and investors), as well as being easy and cost effective to implement: the average implementation time is just four weeks. Fifteen years' experience working with very demanding sell-side institutions and four years' experience working with investment managers, from start-up hedge funds to large investment companies, uniquely positions us to respond to the growing needs of investment management firms," said Herve Vinciguerra, Chairman, Sophis.